Liverpool have been ready to sell Phillips this summer, but as the deadline approaches a loan move is on the cards for the defender.
Middlesbrough have made an approach as they look to take Phillips to the north east to bolster Michael Carrick’s squad.
However, Boro look poised to lose out as Scottish champions Celtic are now in the driving seat to loan Phillips for the season.
Moving to Celtic Park would hand Phillips the chance to play in the Champions League, which Middlesbrough cannot offer.
He would link up with former Liverpool boss Brendan Rodgers in Glasgow.
Rodgers is under pressure to strengthen his squad following a mixed start to the campaign for Celtic and as he looks to make sure the Bhoys are competitive in the Champions League.
It is unclear if Celtic want any option to keep Phillips permanently including in any loan deal with Liverpool.
